MjLink Cannabis Business News and Press

Earlier this month, the U.S. House of Representatives made history with the passing of the Marijuana Opportunity Reinvestment and Expungement (MORE) Act. The bill removes cannabis from the DEA’s Controlled Substances Act schedule, effectively decriminalizing it nationally and allowing individual states to regulate their own markets. It also calls for the reinvestment of tax money from cannabis into community grants for job training, youth recreation and other programs in areas hit hardest by prohibition.

And while the passing of the bill was lauded by many cannabis advocates and executives, others feel it doesn’t go far enough in creating a fair industry for everyone. Cannabis Business Times and Cannabis Dispensary spoke to leadership figures in the cannabis equity movement to learn about the specific issues with the MORE Act.    

Breaking Down the MORE Act’s Shortcomings

Although the bill represents a significant step in federal cannabis legislation, experts identified four specific points where its provisions fall short of establishing an industry accessible to everyone: 

Felony exclusions 

A late-added provision in the bill would prevent anyone with even a pending felony charge from getting a license in the cannabis industry. Cannabis equity advocates in Congress, such as Earl Blumenauer (D-OR) and Barbara Lee (D-CA), expressed displeasure at the last-minute addition, but stopped short of pulling the bill from a full floor vote.

Amber Littlejohn, executive director of the Minority Cannabis Business Association (MCBA), said the organization was able to ensure this add-on would not be present in the final version of the bill that is passed by both chambers of Congress.

“At the last moment, MCBA was able to work with House leadership to get their commitment to ensuring the exclusion would not stand and impacted communities would remain at the forefront of any future legislation,” Littlejohn wrote in an email to Cannabis Business Times and Cannabis Dispensary.

Los Angeles, CA (December 10, 2020) – PRESS RELEASE – Today, Shawn ‘JAY-Z’ Carter officially drops the first products from his cannabis line, MONOGRAM. As announced in October 2020, the brand marks a new chapter within the cannabis space predicated on dignity, care and consistency. After honoring those three tenets with 18 months of careful strain selection and meticulous cultivation practices, MONOGRAM is finally ready to introduce its core collection of products to the world.

“Cannabis has been around for thousands of years, yet it is still an industry whose legacy of skilled craftmanship is often overlooked,” shared Carter. “I created MONOGRAM to give cannabis the respect it deserves by showcasing the tremendous hard work, time and care that go into crafting a superior smoke. MONOGRAM products are next level when it comes to quality and consistency and we’re just getting started.”

While MONOGRAM draws inspiration and adapts techniques from the cultivators who have come before, it also seeks to redefine the cannabis category by taking an individualistic approach to describing product experience. Launching with four numbered strains designated “light,” “medium,” or “heavy,” MONOGRAM offers a clear and considered sensory description for every product within the line – from preroll to handroll to flower.

The newly introduced MONOGRAM strains – No. 88, No. 96, No. 70 and No. 01 – are currently available via the brand’s three product classes:

THE OG HANDROLL – The first product of its kind, THE OG HANDROLL (SRP: $50) takes inspiration from the smoke experience of a premium cigar, but implements a proprietary roll technique allowing the flower to burn slowly and evenly for multiple sessions. Highly trained artisan rollers break the flower down by hand and roll using a time-honored process that was specially architected by MONOGRAM Culture & Cultivation Ambassador DeAndre Watson. A true work of art and craftsmanship that cannot be automated, the roll itself burns clean and clear every time.LOOSIES PREROLL PACK – The LOOSIES PREROLL PACK (SRP: $40) contains four 0.4g prerolls that have been individually wrapped to foster communal smoking with ease. Each is filled with flower that has been produced to exacting standards to ensure a premium experience. The packaging itself makes a statement and reflects the magic held within: bold, convenient, top-shelf quality – wherever, whenever.FLOWER – Available in 2g and 4g jars, MONOGRAM FLOWER (SRP: $40 & $70) is cannabis perfected. Grown in small batches to maintain control and quality, each flower is hand-selected and hand-finished by MONOGRAM experts to provide the best possible experience, from grow to smoke. The bold packaging provides a showcase piece, while keeping the cannabis fresh and protected from UV light.

The Arizona Department of Health Services (ADHS) has announced draft rules for the state’s forthcoming adult-use cannabis market, according to an AZCentral.com report.

Voters approved adult-use legalization in the 2020 election through the passage of Proposition 207, and election results were made official Nov. 30, the news outlet reported.

Prop. 207 allows adults 21 and older to possess up to one ounce of cannabis and grow up to six plants at home for personal use, and commercial sales could launch as early as next spring.

Health officials announced the draft rules for the program Dec. 10, although many regulations have yet to be written, according to AZCentral.com. ADHS has issued a survey to allow the public to weigh in on the rules, the news outlet reported, and the survey will remain open until Dec. 17.

The draft regulations largely mirror the framework of the state’s medical cannabis program, according to AZCentral.com. Arizona’s existing medical cannabis operators can seek licenses in the adult-use market beginning in January, and 12 new adult-use retail licenses will be available in rural counties that have one or no medical cannabis dispensaries, the news outlet reported.

South Carolina lawmakers have pre-filed bills in both the House and the Senate to legalize medical cannabis, according to The State.

The bills, both called the “South Carolina Compassionate Care Act,” mirror legislation that was considered during the 2019 legislative session, when the Senate ultimately pushed a vote on the issue to 2020.

The legislation did not resurface this year, however, as the legislative session was shortened by the COVID-19 pandemic.

In the past, the State Law Enforcement Division and the S.C. Medical Association have opposed medical cannabis legalization, The State reported, arguing that South Carolina should hold off on legalization until cannabis is recognized and approved by the U.S. Food and Drug Administration. Gov. Henry McMaster has said he will veto legislation to legalize medical cannabis as long as it is opposed by law enforcement, according to the news outlet.

While the medical cannabis debate rages on, lawmakers in the South Carolina House and Senate have also pre-filed bills that would legalize adult-use, The State reported. Sen. Mia McLeod has introduced legislation that would allow adults 21 and older to possess and use cannabis, and would also establish a system to license cannabis businesses.

Kentucky Rep. Jason Nemes has announced plans to reintroduce a medical cannabis legalization bill in the upcoming legislative session, according to a Messenger-Inquirer report.

The Kentucky House of Representatives passed House Bill 136 in February, marking the first time a bill to legalize medical cannabis has received a full House vote in the state.

“The support in the House will be even stronger than it was last year,” Nemes told the Messenger-Inquirer. “We have replaced a number of ‘no’ votes with ‘yes’ votes in the Republican caucus due to retirement and defeating Democrats, so we will be stronger in the House. The whole question is what the Senate will do.”

H.B. 136 did not come up for a vote in the Senate last year due to the start of the COVID-19 pandemic, the Messenger-Inquirer reported, but Nemes expects the legislation to clear the House again next year and is “cautiously optimistic” that it will make it through the Senate.

The legislation places heavy oversight on doctors, patients, dispensaries, caregivers and others within a medical cannabis program in the state, according to the news outlet, and caps the amount of THC allowed in cannabis products distributed to patients. The bill would also ban smokable flower, but would allow patients to access vape products and edibles, the Messenger-Inquirer reported.

South Dakotans for Better Marijuana Laws, the group behind Amendment A, the state’s voter-approved adult-use cannabis legalization measure, has filed a response to a lawsuit that challenges the constitutionality of the ballot initiative, according to the Rapid City Journal.

In a Dec. 7 court filing, the group argued that the case should be dismissed because voiding Amendment A would overturn the will of the people, the news outlet reported.

Last month, Pennington County Sheriff Kevin Thom and South Dakota Highway Patrol Col. Rick Miller filed a lawsuit to challenge the measure, arguing that it violates the state’s one-subject rule, as well as the amendments and revisions article of the South Dakota Constitution.

The plaintiffs are asking a judge to void Amendment A, and all parties have a Jan. 8 deadline to file and respond to motions, at which time a hearing will be held, according to the Rapid City Journal.

While the mergers and acquisitions (M&A) space in the cannabis industry has significantly slowed in 2020, it certainly hasn’t stopped—not even during a pandemic.

According to S&P Global Market Intelligence, “a drop in company valuations complicated by the coronavirus-triggered capital squeeze” were the two major reasons for the slowdown. Still, S&P Global reports U.S. and Canadian cannabis and cannabis-related companies completed 124 deals in 2020, worth a combined $615.1 million—compared to 249 deals in 2019 and 324 deals in 2018.

We also learned this year, according to a Department of Justice (DOJ) whistleblower, that “U.S. Attorney General William Barr was motivated by his personal dislike of the cannabis industry when he launched multiple Antitrust Division merger investigations into nearly a dozen cannabis deals last year,” Cannabis Business Times reported in July. According to Eric Berlin, co-chair of Denton’s Cannabis Practice, “Many of the cannabis mergers under investigation did not get closed … due to these additional costs and time delays, and now, not only are the companies involved left with little to no recourse, but the DOJ’s actions have dramatically slowed the M&A activity in the industry.”

However, recovering valuations and renewed investor interest are expected to increase deals in 2021, according to the S&P Global. Not to mention, it was a monumental year for cannabis legalization in the U.S. And, cannabis businesses in most states and provinces were considered essential services. As we wait to see what 2021 deal-making brings, we’ve rounded up some of the most notable deals that closed, and those that fell through, in 2020.

 

1. Cresco Labs Acquires Origin House

Before the coronavirus pandemic, Cresco Labs officially closed its acquisition of Canada-based cannabis company Origin House. The deal was originally valued at C$1.1 billion, though the deal’s value ended up being lower amidst declining stocks and antitrust review delays. Perhaps the biggest cannabis transaction in the year, the move paved the way for Cresco Labs’ entry into the United States’ largest cannabis market: California.

This week, the U.S. House of Representatives passed HR 3797: The Medical Marijuana Research Act, which facilitates clinical cannabis research by establishing a process so that authorized scientists may access flowers and other products manufactured in accordance with state-approved marijuana programs. Elsewhere, in New Jersey, lawmakers agreed on legislation to implement the state’s adult-use cannabis program, with a vote expected later this month.

Here, we’ve rounded up the 10 headlines you need to know before this week is over.

Federal: Members of the U.S. House of Representatives voted Dec. 9 in favor of HR 3797: The Medical Marijuana Research Act, which facilitates clinical cannabis research by establishing a process so that authorized scientists may access flowers and other products manufactured in accordance with state-approved marijuana programs. It also ends the decades-long monopoly on the cultivation of cannabis for FDA-approved research by requiring federal agencies to license multiple manufacturers in addition to the University of Mississippi. Read moreNew Jersey: New Jersey lawmakers have reached a deal on legislation to implement an adult-use cannabis program in the state. The Senate Judiciary Committee is expected to take up the bill on Dec. 14, the news outlet reported, and the legislation will go before the full Senate for a vote on Dec. 17. Read moreNebraska: Sen. Anna Wishart is working on language to legalize adult-use cannabis that will be added to a medical cannabis legalization initiative that is planned for the state’s 2022 ballot. “In light of the successful ballot measures in South Dakota and yesterday’s vote in the House of Representatives, our team is drafting a ballot initiative to legalize cannabis for adult use,” Wishart wrote in a Dec. 5 Facebook post. Read moreCalifornia: The Humboldt Community Business Development Center (HCBDC) has partnered with the California Center for Rural Policy at Humboldt State University and Sonoma State University for a comprehensive look into the impact of cannabis farming, manufacturing, distribution and retail sales on the overall economy of a research area which includes the legendary Emerald Triangle (Humboldt, Trinity and Mendocino counties). The HCBDC will develop the study through a grant from the California Bureau of Cannabis Control. Read moreThe Cannabis Advisory Committee recommended regulatory changes this week that would help licensed cannabis businesses compete with the illicit market and face new challenges related to the ongoing COVID-19 pandemic. The committee held public hearings throughout 2020 and made 17 total recommendations for improving the state’s cannabis industry. Read moreMinnesota: A University of Minnesota research team has developed a genetic test that can predict whether cannabis will produce mostly CBD or THC, having broad implications for both cannabis and hemp. The team’s findings were recently published in the American Journal of Botany. Read moreFlorida: Sen. Randolph Bracy has announced that he will introduce a bill during the 2021 legislative session to make it easier for people to clear misdemeanor convictions involving the possession and distribution of less than 20 grams of cannabis. The legislation would not automatically expunge records, but it would allow thousands of people to clear their criminal records and waive all court fees to do so. Read moreNew Mexico: A state advisory board recommended this week that the state health secretary consider allowing licensed medical cannabis cultivators to grow more plants to alleviate concerns about the high cost of medical cannabis and the lack of variety. The board voted on the recommendation in response to a petition seeking to either eliminate the limit or significantly increase the number of plants each cultivator can grow. Read moreIllinois: Multistate cannabis operator Cresco Labs has announced the relaunch and availability of its cannabis-infused chocolates line from its Mindy's Chef Led Artisanal Edibles brand in dispensaries across Illinois. Previously introduced to the state's medical market in 2016, the line is now available for the first time to recreational customers. Read moreCanada: Licensed producer Canopy Growth Corp. will shutter roughly 17% of its indoor cultivation space and all of its outdoor cultivation sites in Canada, which will result in layoffs for about 220 employees. The closures are part of a four-pronged approach that CEO David Klein and other company executives outlined last month to improve margins and turn a profit by the end of the fiscal year 2022. Read more

SEATTLE--/PRNewswire/ -- iUNU, an industrial computer vision company providing precision agriculture solutions to indoor growers, has raised $7 million in an oversubscribed Series A financing led by S2G Ventures and Ceres Partners.

iUNU is transforming the way indoor growers do business by harnessing the power of computer vision through its product offering, LUNA. The LUNA platform delivers a system of mobile and fixed cameras with high-definition imaging and environmental sensors that measure and record everything down to the real-time growth rate of each plant. The software combines computer vision and machine learning technologies to continuously build detailed models of individual plants, unique among millions, throughout the day. LUNA detects even the most minute changes in health of individual plants, giving growers the precise knowledge they need for proactive management. LUNA uses this insight to drive margin for growers through crop monitoring/forecasting, space utilization, and labor planning - while giving increased pricing leverage to the sales team.

"The LUNA system continues to attract greenhouse growers as a leading comprehensive greenhouse management platform," said Cristina Rohr, principal at S2G Ventures. "We are delighted to partner with iUNU to support the company's continued growth and long-term plans to make indoor growing operations more profitable and efficient."

"The iUNU team has translated their long experience in greenhouses into an exciting computer vision platform powered by machine learning which empowers growers with new tools and capabilities to see, predict and take action," said Walter Robb, executive-in-resident at S2G Ventures. "Both the magic and the mystery of plants growing comes alive in and through LUNA. [Its] advanced technology supports the optimization of yield, labor and product quality, ultimately providing the end customer both superior processes and product while improving the profitability for growers."

Greenhouse production is experiencing significant growth. In North America, the greenhouse fruit and vegetable market is growing more than 20 percent annually. As greenhouses expand their square footage to meet demand, however, labor shortages and rising labor costs pose challenges for growers. Technologies to facilitate grower productivity have become essential.

"Our communities are under-greenhoused. Rising consumer demand is accelerating the growth of the greenhouse industry, but the massive shortage of both growers and manual labor requires a scalable machine vision solution to further the supply," said Adam Greenberg, CEO and founder of iUNU. "We are proud to partner with S2G Ventures and Ceres Partners, as both firms share a passion for and expertise in agriculture investing, and support our vision to empower growers to do more with less."

CHICAGO, Dec. 10, 2020 /CNW/ - PRESS RELEASE - Cresco Labs, one of the largest vertically integrated multistate cannabis operators in the United States, has announced the relaunch and availability of its cannabis-infused chocolates line from its Mindy's Chef Led Artisanal Edibles brand in dispensaries across Illinois. Previously introduced to the state's medical market in 2016, the line is now available for the first time to recreational customers. Illinois' total adult use cannabis sales topped $75 million for the second consecutive month in Nov. 1. The Chocolates line features three consistently dosed chocolate bars—Milk Chocolate & Peanut Brittle, Caramelized Chocolate Marshmallow Graham and Dark Chocolate Almond Toffee. In addition, for the 2020 holiday season the brand has launched a limited-time only flavor, Dark Chocolate Peppermint Bark.

"As the largest wholesaler of branded cannabis products in both the industry and Illinois, we continue to expand the reach of our House of Brands and diversified offerings to appeal to all consumers who have different preferences and needs," said Greg Butler, chief commercial officer at Cresco Labs. "It has been such a pleasure to see our Mindy's brand grow in the last year and delight more consumers not only in Illinois, but also in California, Michigan and Massachusetts."

Mindy Segal is Illinois' original cannabis chef and the creative force behind her namesake line of artisanal edibles. A big difference between Mindy's Chef Led Artisanal Edibles and other edible products in the market is their decadently delicious taste, featuring iconic flavor combinations and distinctive, premium ingredients. In addition, each product is precisely dosed to provide cannabis consumers with confidence to experiment with different flavors and textures.

With a reputation as a renowned pastry chef and restaurant owner, Segal has taken her unmatched attention to detail and quality to the production of cannabis-infused Chocolates. Additional details on the newly available Chocolates line:

Milk Chocolate & Peanut Brittle – A blend of two milk chocolates, each with a distinct flavor note, accented with smooth peanut butter and crunchy peanut brittle. 100 mg THC bar with 10 breakable, 10 mg pieces. Caramelized Chocolate Marshmallow Graham – Caramelized white chocolate nestled with crunchy graham crackers and mini marshmallows. 100 mg 1:1 CBD/THC bar with 10 breakable, 10 mg pieces.Dark Chocolate Almond Toffee – Two dark chocolates and a touch of milk chocolate with smoked almonds, crunchy toffee and smooth caramel. 100 mg THC bar with 10 breakable, 10 mg pieces. Dark Chocolate Peppermint Bark – A limited-time only offering available for the 2020 holiday season while supplies last, delivers a blend of rich, luscious dark milk chocolate with smooth white chocolate ganache drizzle, topped with crushed peppermints. 100 mg THC bar with 10 breakable, 10 mg pieces.

In Illinois, the Mindy's Chef Led Artisanal Edibles suite of products includes 2 mg and 5 mg Gummies available in six flavors and now Chocolates. The brand plans to expand its offerings to include Taffy soon.

NEW YORK, Dec. 10, 2020 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Clever Leaves, a multi-national operator and licensed producer of pharmaceutical-grade cannabinoids, has announced it has successfully delivered the first shipment of EU GMP certified cannabis standardized extract from Colombia to Germany, imported by their distribution partner Paesel + Lorei GmbH & Co. KG. To available knowledge, this is the first legal shipment of an EU GMP certified pharmaceutical controlled substance from Colombia to Germany.

The shipment contained an initial sample of Clever Leaves' standardized cannabis high CBD extract manufactured under EU-GMP certification with more than 0.2% of THC, which makes it a controlled substance in Colombia and Germany, and is expected to be available in the German market in 2021. Clever Leaves partnered with P&L, an international provider of outsourcing services and a developer of special distribution solutions specializing in the pharmaceutical industry, for the execution of the international shipment.

Germany is one of Europe’s largest cannabis markets and has shown to be one of the leading international revenue opportunities for global cannabis producers. With strict quality standards and EU GMP certification requirements, the German regulatory approach focuses on developing a quality and safe market for cannabis-derived medical products in the country. Clever Leaves, in compliance with all cannabis regulations in the countries served, has successfully imported to 14 countries on five continents.

“The shipment demonstrates our execution on the pipeline from Colombia to an incredibly important market, Germany, Europe’s largest cannabis market and one of the most influential pharmaceutical markets in the world,” said Kyle Detwiler, CEO of Clever Leaves. “Our ability to develop and deliver market leading products opens doors, not only for Clever Leaves, but also to improve the quality of life and care for patients in need of these products.”

“We are delighted to cooperate with Clever Leaves´ multi-national team and to facilitate their entrance of the German market with their products,” said Dr. Anne Pfitzner, Managing Director of Paesel + Lorei.

TORONTO, Dec. 9, 2020 /CNW/ - PRESS RELEASE - Liberty Health Sciences has announced it has hired Darrin Potter as Vice President of Operations. Potter will report directly to the interim CEO, George Gremse.

In his new role, Potter will be responsible for driving the organization's growth by leveraging Liberty's cultivation, processing, extraction, packaging and distribution operations. He will also manage the expansion of the LHS360 production facility in Gainesville.

Potter has a proven background in the cannabis industry as an award-winning cannabis production executive with over 12 years' experience in the medical and recreational cannabis markets. During his career, Potter has served in an operations consultative capacity, focusing on new methods to improve product quality and yield, as well as having managed a company's full facilities operations.

"Liberty's production decreased this past summer creating some shortages of product in the dispensaries over the past few months," said George Gremse, interim CEO of Liberty Health Sciences. "New genetics and SOPs were introduced, and the results are starting to show. Darrin is a strong, experienced leader. His comprehensive industry background adds a high level of expertise that will serve the company and our patients well. His focus will be on continuing to improve the quality and quantity of Liberty's product offerings. We are confident that Darrin will be an outstanding addition to our team and has what it takes to lead the company to another level of success. We are thrilled to have him on board."

Prior to joining Liberty, Potter served as Vice President of Production at iAnthus Capital Holdings Inc. At iAnthus he worked directly with cultivation department managers across US assets to create and maintain company standards, develop best practice protocols to reduce production costs, and leverage industry relationships for best pricing on cultivation and processing materials. Potter also worked as Chief Horticulture Officer for GrowHealthy Holdings, where he coordinated a design team for its 200,000-square-foot indoor/greenhouse/shade house production facility.

IRVINE, Calif.--(BUSINESS WIRE)--PRESS RELEASE--WM Holding Company, LLC and Silver Spike Acquisition Corp., a publicly-traded special purpose acquisition company, have announced a definitive agreement for a business combination that would result in WMH becoming a public company. The combined company will be led by Chris Beals, chief executive officer of WMH, and is expected to remain listed on the Nasdaq Stock Market.

Company Overview

Founded in 2008, WMH operates Weedmaps, an online listings marketplace for cannabis consumers and businesses, and WM Business, an SaaS subscription offering sold to cannabis retailers and brands. The company solely provides software and other technology solutions and is non-plant touching. WMH has grown revenue at a CAGR of 40% over the last five years and is on track to deliver $160 million in revenue and $35 million in EBITDA for 2020.

The cannabis market in the U.S. is expected to double over the next five years as the majority of U.S. adults support having legal access to cannabis. Despite these expectations of growth, cannabis users in the U.S. are still a small sub-segment of the population today, and retail density is still low across the majority of states with regulated legal cannabis markets. The regulations related to these markets are often complex and disparate across states as well as cities and counties within regulated states. Cannabis itself is a highly complex and non-shelf stable consumer product. These dynamics present a challenging and sometimes uncertain environment for consumers seeking legal cannabis products and for businesses selling to cannabis users while operating in a compliant fashion.

WMH addresses these challenges with its Weedmaps marketplace and WM Business SaaS subscription offering. Over the past 12 years, Weedmaps has grown to become the premier destination for cannabis consumers, with over 10 million monthly active users and over 18,000 business listings across every U.S. state, the District of Columbia and Puerto Rico with a legal cannabis market. Clients of the company maintain listings in nine international countries outside of the U.S. Through the Weedmaps' website and mobile apps, WMH provides consumers with information regarding cannabis retailers and brands, as well as the availability of cannabis products, facilitating product discovery and online order-ahead for pickup or delivery by participating retailers.

The company’s cloud-based WM Business SaaS subscription offering provides cannabis retailers with an end-to-end operating system to access valuable users, grow sales and scale their businesses at a compelling return-on-spend. This “business-in-a-box” functionality ranges from integrations supporting product menus that have online order-ahead, delivery order fulfillment software, data & analytics, a point-of-sale solution and a wholesale marketplace. WMH has been investing in and optimizing its WM Business software solution to also facilitate compliance for businesses amidst the complex, disparate and constantly evolving regulations governing the cannabis industry. Underlying this compliance functionality is a proprietary and sophisticated rules engine that is a core underpinning of the WM Business SaaS platform.

TORONTO, ON (December 8, 2020) – PRESS RELEASE – 6PAK Solutions Inc., the packing arm of ATG Pharma Inc., has announced a three-year strategic alliance with CannaPiece Corp., an Ontario-based processor and manufacturer.

Through the formation of this alliance, CannaPiece Corp will be equipped to increase capacity, expertise and co-packing abilities, allowing the company to manufacture high demand Cannabis 2.0 and 3.0 products on behalf of their contract clients.

“This alliance with CannaPiece is a pivotal moment for 6Pak as we can now have the ability to take on co-packing contracts for our clients under a Health Canada License,” said Chris Shar, co-founder of 6Pak Solutions. “With Cannabis 3.0 on the rise, we want to continue to be a trusted partner to our clients by helping them bring new and innovative products to market faster and more efficiently. Through CannaPiece, we will be able to do so."

Equipment supplied by 6Pak will operate out of CannaPiece’s 50,000-square-foot, state-of-the-art Health Canada licensed facility in Pickering, Ontario. The facility currently offers a variety of services such as large-scale extraction, third-party processing and production of edibles, topicals and concentrates. Alongside filling and packaging equipment, 6Pak will also bring their industry expertise in staffing and continuous enhancement and maintenance.

“Leveraging off ATG’s years of industry experience, 6Pak has had a front-row seat to the market evolution. Their trusted expertise and cutting-edge equipment make them the most suitable partner for CannaPiece as we seek to meet growing volumes and timelines,” said Eric Akbar, vice president of operations for CannaPiece Corp. “The true beneficiaries of this alliance will be consumers as we position ourselves to get new innovative products to market faster, and free up company cash flow for the rapidly expanding market.”

The California Cannabis Advisory Committee recommended regulatory changes Dec. 9 that would help licensed cannabis businesses compete with the illicit market and face new challenges related to the ongoing COVID-19 pandemic, according to a Los Angeles Times report.

Recommended changes were included in the committee’s annual report, and include eliminating a $5,000 limit on the amount of cannabis that can be transported by delivery vans to make it easier for small businesses to sell different products, as well as pave the way for food and beverages to eventually be served in cannabis lounges, the news outlet reported.

Other recommendations include expanding the activities allowed under the state’s microbusiness licenses to include the processing of cannabis products, as well as allowing the licensees to conduct sales at licensed events, according to the Los Angeles Times. The committee also recommended eliminating a rule that testing facilities can only test cannabis products, as well as allowing companies to hold multiple cultivation licenses to share propagation and processing areas.

When California voters approved adult-use cannabis legalization in 2016, state officials predicted that 6,000 licensed retail stores would eventually set up shop, but currently, only 715 dispensaries and 315 delivery services are licensed in the state, according to the Los Angeles Times.

RELATED: California’s Grim Outlook: Coronavirus Pandemic Expediting the State’s Existing Cannabis Market Failures

A New Mexico advisory board recommended Dec. 9 that the state health secretary consider allowing licensed medical cannabis cultivators to grow more plants to alleviate concerns about the high cost of medical cannabis and the lack of variety, according to an AP News report.

The board voted on the recommendation in response to a petition seeking to either eliminate the limit or significantly increase the number of plants each cultivator can grow, the news outlet reported.

New Mexico’s medical cannabis industry has long pushed for eliminating the limit, while some participants in the program have expressed concern that the nonprofit model established by the state’s medical cannabis law has turned into a monopoly, according to AP News.

Dr. Dominick Zurlo, director of the state’s medical cannabis program, has said that previous increases in the plant count have not brought prices down, the news outlet reported, and added that the state’s cultivators can request next year to grow an additional 500 plants under state law. Currently, cultivators can grow a maximum of 1,750 plants.

New Mexico’s cultivators reported having just over 30,000 mature plants for the quarter ending Sept. 30, according to AP News, and Zurlo said there is “untapped potential” since growers can have more than 51,000 plants under the current regulations.

Canadian licensed producer Canopy Growth Corp. announced Dec. 9 that it will close additional cultivation sites in Canada, according to a Reuters report.

The company will shutter roughly 17% of its indoor cultivation space and all of its outdoor cultivation sites, the news outlet reported, which will result in layoffs for about 220 employees.

Affected cultivation operations include indoor facilities in Edmonton, Alberta and Bowmanville, Ontario, according to Reuters, as well as outdoor sites in Saskatchewan.

“We are confident that our remaining sites will be able to produce the quantity and quality of cannabis required to meet current and future demand,” Canopy CEO David Klein said in a statement to the news outlet.

The closures are part of a four-pronged approach that Klein and other company executives outlined last month to improve margins and turn a profit by the end of the fiscal year 2022, Reuters reported.

Washington, DC - PRESS RELEASE: Members of the US House of Representatives voted Dec. 9 in favor of HR 3797: The Medical Marijuana Research Act, which facilitates clinical cannabis research by establishing a process so that authorized scientists may access flowers and other products manufactured in accordance with state-approved marijuana programs. It also ends the decades-long monopoly on the cultivation of cannabis for FDA-approved research by requiring federal agencies to license multiple manufacturers in addition to the University of Mississippi. For over five decades, the University has been the only federally licensed source of research-grade marijuana in the United States.

The Act is sponsored by Oregon Democrat Earl Blumenauer, along with several Republican co-sponsors. House members passed the Act on a voice vote.

“The cannabis laws in this country are broken, especially those that deal with research. It’s illegal everywhere in America to drive under the influence of alcohol, cannabis, or any other substance. But we do not have a good test for impairment because we can’t study it … This is insane and we need to change it,” Congressman Earl Blumenauer said today on the House floor. “At a time when there are four million registered medical cannabis patients, and many more likely self-medicate, when there are 91 percent of Americans supporting medical cannabis, it’s time to change the system. Our bill will do precisely that.”

In April, NORML provided testimony for the Federal Register advocating for many of the changes made in this Act.

NORML’s Deputy Director Paul Armentano said, “These common-sense regulatory changes are necessary and long overdue. The DEA has proven time and time again that it is not an honest broker when it comes to overseeing the cultivation of research-grade cannabis. Despite promising over four years ago to expand the pool of federal licensees permitted to provide cannabis for clinical research, the agency has steadfastly refused to do so—leaving scientists with woefully inadequate supplies of cannabis and cannabis products available for human studies.”

OSOYOOS, British Columbia, Dec. 08, 2020 (GLOBE NEWSWIRE) -- via CannabisNewsWire -- PRESS RELEASE -- Way2Grow Nurseries, a privately owned biopharma company, has announced that it has received Health Canada’s approval for the standard cultivation, standard processing and sale for medical purposes under the Cannabis Regulations. The licenses are effective as of Nov. 20, 2020.

Licensing

The terms of the licenses include approval of a single-story production facility designed to support micropropagation tissue culture, organic cultivation, processing and medical sales requirements. Phase II plans include the expansion of the research laboratory, expansion of controlled cultivation rooms and the addition of a medical dispensary.

The W2G cultivation relies on a small, closed room approach to grow consistent organic medical cannabis. Each W2G cultivar starts with a consistent phyto-pharmaceutical feedstock growth plan through the use of tissue culture and molecular biology. Each cultivation room then operates specific to the cultivar’s growth plan and cultivar optimal conditions to create consistent medical quality.

Way2Grow has developed a new and strategic organic approach to the cannabis industry by combining its expertise in organic cultivation technology, an experienced genetic advancement team, innovative pharmaceutical research plans and IP development, coupled with the highest level of security and design using the W2G Design Standard. Way2Grow believes this unique combination will lead to the highest quality, safest, organic medical cannabis products and pharmaceuticals.

LOS ANGELES, Dec. 09, 2020 (GLOBE NEWSWIRE) -- PRESS RELEASE -- OG DNA Genetics has announced a licensing agreement with Natura Life + Science, a vertically integrated cultivator, producer and manufacturer of high-quality cannabis in Sacramento, Calif.

The agreement will grant Natura license to DNA Genetics, Crockett Family Farms and associated family of brands, as well as access to their proprietary award-winning genetics and standardized operating procedures for their cultivation at the Natura cultivation facility in Sacramento, Calif. Natura’s 290,000-square-foot state-of-the-art facility allows for propagation, cultivation, product development, R&D, manufacturing, distribution, delivery and more.

“By partnering with Natura Life + Science, we’re finding the right fit and the right home for our brands in California,” said Rezwan Khan, president of DNA Genetics. “Natura embodies everything we look for when exploring a potential licensing partnership: strong management team, commitment to quality, emphasis on integrity, passion for the cannabis plant, fully vertical top tier facility and scale. They even have a shaman on staff to keep the energy right. Everyone at DNA is really looking forward to working with Natura in bringing it altogether for the people of California.”

Natura currently operates over 265,000 square feet of cannabis facility space and specializes in cultivation, manufacturing and extraction, wholesale packaging and distribution, a delivery-only dispensary, and branding and marketing services.

"At Natura we believe the best cannabis products are created from the best cannabis genetics. Don, Aaron and Crockett are true pioneers within the genetic space and it is our privilege to help them provide unparalleled, finished products to California’s cannabis community," says Sid Gupta, VP of Strategy at Natura. “Especially exciting to us will be our ability to offer state of the art technology for the cultivation of DNA genetics and the breeding of the next hottest flavors.”